STX Offshore & Shipbuilding signed a KRW 746bn ($695m) contract with BP Shipping of UK on December 20 to build three 160,000-dwt tankers and ten 110,000-dwt tankers, the Korean shipbuilder announced on December 23.
Sources said that after competing with Samsung Heavy Industries, STX had been selected from BP to build three and optional two suezmax tankers as well as ten plus six aframaxes.
One market player said "BP had placed another order at Samsung before. However, this time, STX is said to have offered better price terms."
According to market players, STX offered low $50m apiece and Samsung offered high $50m for aframax, while STX and Samsung suggested low $60m and high $60m each for suezmax.
STX' Jinhae shipyard will deliver overall 13 newbuilding tankers one by one by October 31, 2015.
Since BP Shipping gave credit for the Korean shipbuilder's competitiveness as well as STX passed BP's strict standards on safety, HSE and technical specification.
Moreover, these newbuildings will become the world's leading eco-design vessels with high specification. As they will have a performance exceeding EEDI by 25%, which will lead to BP's huge gain by reduced operating costs.
An official from STX said "In a recent days when going through transition in demand-supply trend, this deal is greatly meaningful to us, since we have won an order for global oil major group against a competitor."